The Armington General Equilibrium Model: Properties, Implications and Alternatives

Xiao-Guang Zhang
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Xiao-Guang Zhang: Productivity Commission

Staff Working Papers from Productivity Commission, Government of Australia

Abstract: The purpose of this paper is to contrast an Armington-based model with the traditional Heckscher-Ohlin framework familiar to textbook trade theory. The models concentrate on different aspects of the gains from trade, and both have deficiencies. The paper argues that by combining both frameworks, the hybrid Arminton-Heckscher-Ohlin model inherits the strengths of both models. The views expressed in this paper are those of the staff involved and do not necessarily reflect those of the Productivity Commission.

Keywords: trade; tariffs; economic modelling (search for similar items in EconPapers)
JEL-codes: F11 F13 F15 (search for similar items in EconPapers)
Pages: 100 pages
Date: 2008-02
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Citations: View citations in EconPapers (4)

Published by the Productivity Commission, Australia.

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